Benefit Systems

Benefit Systems Targets Significant Growth in Sports Card Subscriptions by 2026

Benefit Systems S.A. has announced ambitious plans to expand its MultiSport card program, aiming to add approximately 130,000 new sports cards in Poland and at least 100,000 cards in non-EU international markets by 2026. The company has already surpassed its 2025 target of 280,000 cards in Poland and abroad, demonstrating strong demand for its flagship product. This growth aligns with the company’s strategy of integrating sports card sales with its extensive network of proprietary fitness clubs and partner facilities.

The announcement underscores Benefit Systems’ commitment to strengthening its market position in the non-pay employee benefits sector, leveraging its operational synergies and international expansion to drive future growth.

Benefit Systems Targets Significant Growth in Sports Card Subscriptions and Fitness Club Expansion by 2026

Benefit Systems S.A., a leading provider of non-pay employee benefits, has announced ambitious growth plans for 2026, aiming to add approximately 130,000 new sports cards in Poland and at least 100,000 cards in its European Union markets. The company has already surpassed its 2025 target of 280,000 new cards across Poland and international markets, with a total of 2.376 million sports cards issued by the end of Q3 2025.

In Turkey, Benefit Systems anticipates a significant year-on-year increase in sports card subscriptions, driven by the full-year consolidation of its MAC Group acquisition, which is expected to contribute to a positive gross margin in the Turkish market. The company also projects a low single-digit year-on-year growth in average revenue per user (ARPU) in Poland and the EU for 2026, with operational profitability in Poland remaining stable and improvements expected in the EU segment.

Additionally, Benefit Systems plans to open at least 20 new fitness clubs in Poland, 30 in Turkey, and 20 across other international markets in 2026. The company continues to explore investment opportunities both domestically and abroad to strengthen its market position.

According to Emilia Rogalewicz, a member of the management board, the growth in sports card numbers has exceeded expectations, with the company already surpassing its annual target for 2025 within the first two months of the final quarter.

Relevance: This article highlights Benefit Systems S.A.'s strategic focus on expanding its flagship MultiSport card program and fitness club network, which are core components of its business model and growth strategy in Poland and international markets.

Poland’s Interest Rate Cut Signals Limited Scope for Future Reductions

Poland’s Monetary Policy Council (RPP) has announced a 25 basis point reduction in interest rates this October, bringing the reference rate to 5.75%. According to RPP member Cezary Kochalski, this move significantly limits the potential for further rate cuts in 2025. The decision reflects the Council’s cautious approach amidst economic uncertainties, aiming to balance inflation control with economic growth.

The relevance of this development to Benefit Systems S.A. lies in its impact on financing costs. As the company financed its acquisition of Turkey’s MAC Group primarily through debt, lower interest rates could reduce borrowing costs, positively influencing profitability and expansion strategies.

Polish Currency Weakens Against Dollar as Bond Yields Decline

Poland's currency, the złoty, ended the week weaker against the US dollar, depreciating by approximately 1.6%. Meanwhile, domestic government bond yields fell by 5-10 basis points over the week. Analysts suggest that unfavorable factors for the dollar could emerge, potentially driving the USD/PLN exchange rate toward 3.60. In the coming weeks, further declines in yield curves by 10-15 basis points are anticipated.

Relevance to Benefit Systems S.A.: Falling bond yields in Poland could lower financing costs for Benefit Systems S.A., particularly in relation to its debt-financed acquisition of Turkey's MAC Group, positively impacting its financial stability and growth strategy.

Polish Central Bank Signals Limited Room for Interest Rate Cuts Amid Fiscal Constraints

Adam Glapiński, President of the National Bank of Poland (NBP), stated during a press conference that while fiscal policy constraints limit the scope for interest rate reductions, they do not entirely eliminate the possibility of future cuts. Glapiński emphasized that Poland's economic conditions, including inflation trends and fiscal stability, will play a critical role in determining the trajectory of monetary policy. The remarks come as Poland navigates a complex economic environment marked by global uncertainties and domestic fiscal challenges.

Relevance to Benefit Systems S.A.: Changes in interest rates directly impact financing costs for Benefit Systems S.A., particularly in relation to its debt-financed acquisition of Turkey’s MAC Group. Lower interest rates could reduce financial burdens, improving profitability and enabling further expansion.

Poland Reduces Interest Rates Amid High Economic Pressures

Poland's Monetary Policy Council has announced a 25 basis point reduction in all National Bank of Poland (NBP) interest rates, bringing the reference rate down to 4.50%. Despite this adjustment, Finance and Economy Minister Andrzej Domański emphasized that interest rates in Poland remain high, benefiting banks with record profits. He also addressed the government's proposal to increase the corporate income tax (CIT) for banks from 19% to 30% in 2026, with gradual reductions to 26% in 2027 and 23% in 2028. The tax hike is expected to generate an additional PLN 6.6 billion in 2026 and PLN 23.4 billion over the next decade. Domański warned against banks passing the increased tax burden onto customers and assured that regulatory bodies would intervene if necessary. He also expressed skepticism about the feasibility of introducing a four-day workweek in Poland.

Relevance to Benefit Systems S.A.: The reduction in interest rates could lower financing costs for Benefit Systems S.A., particularly in relation to its debt-financed acquisition of Turkey's MAC Group, potentially improving the company's financial position amidst high operational costs in the fitness sector.

Group Layoff Plans Affect 89,500 Employees in Poland from January to September

Poland's Ministry of Family, Labour, and Social Policy reported that employers planned group layoffs affecting 89,500 employees between January and September 2025. In September alone, 28 companies announced intentions to lay off 2,000 workers, marking a 44.9% decrease compared to the same month in 2024. The highest layoff notifications originated from the Silesian (24.8%), Greater Poland (21.2%), and West Pomeranian (12%) regions.

Notably, 65% of these notifications involved changes to employment terms rather than definitive dismissals. The ministry highlighted that a significant portion of layoffs stemmed from Polish Post, skewing overall statistics and not fully reflecting the broader labour market conditions. Despite challenges in certain sectors, major urban areas like Warsaw, Kraków, Wrocław, and Łódź continue to offer abundant job opportunities, ensuring relative stability in local labour markets. The registered unemployment rate in September stood at 5.6%, a slight increase of 0.1 percentage points from August.

Relevance to Benefit Systems S.A.:The rise in unemployment and layoff plans could reduce demand for non-pay employee benefits, such as the MultiSport card, as companies may cut costs in response to economic pressures.